Supply and Demand is a phrase that every one hears in one way or another, Supply and demand phrase according to Colander, (2010) is the most used phrase by economist and the reason is because the phrase provides a good “off-the-cuff” answer for many question that have to do with economy. Example why are interest rates to Low? Because supply and demand. Why is Gasoline so high? supply and demand. This paper will speak about a simulation found on University of Phoenix student website, simulation named “Applying Supply and Demand Concepts” This paper will speak about macroeconomics and microeconomics principles, Paper will also refer to shift of the supply curve and shift of the demand curve. Also how the how concepts of Microeconomics and Macroeconomics help understand the factors that affect shifts in supply and demand on the equilibrium price and quantity, and last how the price elasticity of demand affects a consumer’s purchasing and the firm’s pricing strategy. Microeconomics and Macroeconomic Principles

According to Colander (2010) Microeconomics is define as “the study of individual choice, and how that choice is influenced by economic forces.” With this in mind, principles present on the “Applying Supply and Demand Concepts” simulation are Rental unit Prices and Rental units supply. According to Colander (2010) Macroeconomics is defines “is the study of the economy as a whole.” With this in mind one can say that macroeconomics principles on this simulation are population trends that lead people to choose to rent or not rest and factors that lead people to make this type of choices.

According to Colander (2010), states that Demand can be defined as “Quantity demanded rises as price falls, other things constant. Or alternatively: Quantity demanded falls as price rises, other things constant.” And on the other hand Supply...

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...Running head: SIMULATION
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In the simulation of the city of Atlantis, it demonstrated how supply and demand can shift due to adjustments with prices. The simulation focused on two-bedroom rental properties. We received the expertise of Hal Morgan and Susan Hearst from Good Life Property Management to determine rental prices and how to balance out the supply and demand. Through the simulation, I was able to see that when the rental price of the apartments decreased, there would be an increase in the demand for the apartments. Furthermore, if the price of the apartments increased, then there would be a decrease in the demand. However, to balance out the supply and demand, there needed to be a shift in either the supply or demand.
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...1
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2
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The Supply and DemandSimulation is about the rental of two- bedroom apartments that is managed by Goolife Management Company. The Goodlife Management Company is in the City of Atlantis. The Simulation will show the different scenarios in how the shift in demand and supply curve, demand and supply shift, price ceilings, and the equilibrium changes, also the decrease and increase, and how supplies changes can stay the same.
This assignment asks to identify two microeconomics and two macroeconomics principles or concepts from the simulation. Before one can identify he or she needs to know the definition of microeconomics and macroeconomics. As stated by (Colander, 2010) Microeconomics is the study of individual choice and how that choice is influenced by economics forces. Macroeconomics is the study of the economy as state by (Colander, 2010). Scenario one and four identify microeconomics concepts. In scenario one it describes the Goodlife management company, which manages two- bed room apartment’s has a large amount of vacancy, to have less vacancy the Goodlife management company would need...

...Supply and DemandSimulation Summary
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The Supply/Demandsimulation involves acting as property manager for GoodLife Management in the fictional town of Atlantis. GoodLife Management manages seven apartment complexes in Atlantis. The property manager is expected to adjust the monthly rental rate of two-bed rental apartments and the quantity of apartments supplied based on the market trends. Factors that influence the supply and demand for apartments include personal preferences, economy, income, and rental rates. Each of these factors affect the ratio of vacant and occupied apartments. Decisions regarding supply, demand, and price require careful evaluation. Regular monitoring of supply and demand is necessary to remain competitive in a crowded rental market. As the community grows, GoodLife must make adjustments to remain viable in the real estate industry.
The objective of the first simulation was to determine the monthly rental rate for two-bedroom apartments on temporary leases. The vacancy rate had to be decreased to less than 15% while maximizing revenue. As the rental rate of the apartments was decreased, demand increased, resulting in a lower vacancy rate. The simulation stressed that as...

...This paper will discuss the examples of the supply and demand curves as they were presented in the simulation. In addition, factors affecting these curves such as changes in population, government, employment, and trend all take part in shifting these curves causing pricing or rental rates to increase and decrease accordingly. The concepts of microeconomics that trigger the changes in pricing which in turn causes shifts on both curves will also be discussed in detail. Finally, the paper will briefly address how this information could be used in my workplace and in my understanding of a real-world product which I am familiar with.
In the first scenario given in the simulation, the target plan was to increase revenue and decrease the percentage of vacancy from forty percent to fifteen percent. In order to do this, a decrease in the rental rate must occur in order to gain more potential tenants willing to move in at the lowered rate. This will ultimately lower the vacancy percentage as well. The more important factor to make note of in this simulation is that as the rental rates gets lower, revenue will increase and will continue to do so accordingly until a certain maximum is reached. Once that maximum revenue is reached, continuing to lower the rental rate will cause revenue to begin to decrease. It is important to know where that change occurs in order to keep revenue maximized at all times....

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In this paper I will discuss and identify two microeconomics and two macroeconomics principles or concepts from the simulation. I will explain why I have categorized these principles or concepts as macroeconomic or microeconomic. I will also identify at least one shift of the supply curve and one shift of the demand curve in the simulation, and what causes the shifts. I will discuss how each shift, and analyze how it would affect the equilibrium price, quantity, and decision making.
Two microeconomics and two macroeconomics principles or concepts
Microeconomic theory considers economic reasoning from the viewpoint of individuals and firms and builds up to an analysis of the whole economy. Microeconomics is the study of individual choice, and how that choice is influenced by economic forces. Microeconomics studies such things as the pricing policies of firms, households’ decisions on what to buy, and how markets allocate resources among alternative ends. Our discussion of opportunity cost was based on microeconomic theory. In the simulation scenarios one and three are microeconomics principles because they deal with the part of economics that is about single factors and the effects of individual decisions. In both...

...Supply and DemandSimulation
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In the video, several principles and concepts of microeconomics and macroeconomics were simulated. In the simulated neighborhood of Atlantis, there are many amenities that customers demand. The simulation uses two bedroom apartments to teach the fundamentals of supply and demand. Several scenarios were used throughout the simulation to represent challenges with which management needed to contend. The scenarios showed how price can affect supply and demand while still being competitive within the market. Within the simulation, microeconomics are used. Microeconomics contends with smaller business sectors, while macroeconomics focuses on the entire economy (DifferenceBetween.net, n.d.). The simulation shows an example of microeconomics in the first scenario. Rental management within this scenario must calculate a rental rate for their two bedroom apartments that will decrease vacant units and increase revenue (University of Phoenix, 2012). This scenario relates to microeconomics because it aims toward supply and demand. The management team needed to decrease rental prices to decrease rental vacancy. Macroeconomics is represented in scenario two, which shows that the rental company has...

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The simulation shows a number of changes that happen to the Atlantis population, as well as to the supply and demand of the apartment housing. Throughout the simulation there are two microeconomic principles being displayed as well as one macroeconomic. The equilibrium price is fluctuated due to shifts that take place within the supply curve and also the demand curve. Just like this virtual simulation on the website, there's plenty of changes that can take place in a work environment that can affect the supply or demand. These types of changes create fluctuations in both the equilibrium quantity and the price within a realistic work environment. While I looked at and went through the simulation, it became easy to see how the price elasticity of demand greatly affected both the firms strategy with pricing and the customer's own personal decision to purchase.
It's clear that there are principles of macroeconomics and microeconomics in the simulation. A couple examples of microeconomics would be how the Goodlife Company and individuals made their choices based off of regulation and scarcity. While an example of macroeconomics...